Purchase causes Netscape quarterly loss of $US43.8 Million

Netscape has reported a net loss of US$43.8 million, or 49 cents per share, for its second fiscal quarter, reflecting a non-recurring charge for purchased research and development. Netscape's net revenues for the second quarter ended June 30, 1997, totaled $US135.2 million, an 80% increase over revenues of $75.0 million reported for the same period in 1996.

Netscape has reported a net loss of US$43.8 million, or 49 cents per share, for its second fiscal quarter, reflecting a non-recurring charge for purchased research and development.

Netscape's net revenues for the second quarter ended June 30, 1997, totaled $US135.2 million, an 80% increase over revenues of $75.0 million reported for the same period in 1996.

Net income for the second quarter 1997 was $8.8 million, or 10 cents per share, before the effect of a $52.6 million non-recurring charge for purchased in-process research and development relating to the previously announced acquisitions of DigitalStyle and Portola Communications, Netscape officials said.

The growth in net income represents a 52% increase over net income of $5.8 million, or 7 cents per share, for the second quarter of 1996 before reflecting merger related charges related to prior acquisitions.

After reflecting the non-recurring charge of purchased in-process research and development, the net loss and loss per share for the second quarter of 1997 were $43.8 million and 49 cents, respectively.

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